What is the 2025 Cooperative Contribution Rate for Checkers franchises located in California?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
peratives.
The chart below summarizes the 2025 cooperative contribution rates by area, which are subject to change:
| Market | 2025 Cooperative Contribution Rate |
|---|---|
| Atlanta | 1.85% |
| Augusta | 1.85% |
| Baltimore | 1.85% |
| Bowling Green | 1.85% |
| California | 0.50% |
| Chicago | 0.00% |
| Cincinnati | 1.85% |
| Detroit | 1.85% |
| Evansville | 1.85% |
| Flint | 1.85% |
| Grand Rapids | 1.85% |
| Houston | 1.85% |
| Indianapolis | 1.85% |
| Jacksonville | 1.85% |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 46–57)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, the cooperative contribution rate for franchises located in California is 0.50% of net sales. This contribution goes towards advertising cooperatives, which are independently administered with assistance from Checkers and an outside accounting firm. These cooperatives allow franchisees to pool resources for more effective local and regional advertising campaigns.
It's important to note that cooperative contribution rates are subject to change. The bylaws of the co-op are available for franchisee review, and decisions are generally made by a majority vote, with each restaurant having one vote. This means that Checkers may exert control in areas where company-owned restaurants constitute a majority. Additionally, some franchisees, such as those operating within Walmart stores or other non-traditional sites, may have different contribution rates.
As a prospective franchisee, understanding the cooperative's bylaws and financial statements is crucial. Franchisees should also inquire about how the cooperative's funds are used and what advertising strategies are in place for their specific market. While the standard contribution rate for California is 0.50%, it's essential to confirm whether this rate applies to your specific restaurant location and to stay informed about any potential changes to the rate or the cooperative's policies.